FDRs Depression The New Deal and the first

FDR’s Depression The New Deal and the first 100 Days

Election of 1932 �Herbert Hoover (R) 16 million votes �Franklin D. Roosevelt (D)23 million votes Democrats win the White House, the Senate, and the House of Representatives… A strong rebuke of Hoover and the Republicans in the wake of the crash

Roosevelt takes office �Before he is inaugurated he gathers the best minds in the economic world to begin to put together a plan for recovery �“Brain Trust” forms the policies of the New Deal �“First 100 Days” has a flurry of bills giving the government more power over the economy.

Banks… “We gotta fix the banks!” �March 5 … declares a bank holiday to prevent any more withdrawls and institute a “cooling off” period for consumers �The government would inspect the finances of the banks in order to restore confidence �Role of the fireside chats �FDIC (Federal Deposit Insurance Corporation) is developed to protect people’s deposits

FDR and the New Deal Video �Play “The New Deal” from the video series 20 th Century: a moving visual History

“Alphabet Soup” Programs �SEC – Securities and Exchange Commission �Regulate the stock market to prevent the speculation that caused the crisis �AAA – Agricultural Adjustment Act �Subsidies to destroy crops, milk, food �Why? �How do you think the poor, hungry, and struggling felt about this policy? �CCC – Civilian Conservation Corps �Young men were put to work on projects across the country and were paid $30 / month, but $25 was sent to directly home to the families �NIRA – National Industrial Recovery Act �Money to the states to help create jobs in their area

�A A product of the CCC

Why did people oppose this? �Deficit Spending… �Definition: �Liberal Reaction �Supreme Court �Court packing

Connect this to today! �What are the similarities to the economic crisis we are still dealing with today? How does the government react in the Great Depression compared to today’s crisis?